Industrialists and exporters have welcomed the federal government’s decision to reduce power tariffs but have called for further reductions to ensure the industry’s competitiveness in the global market. They emphasise that while the move is a positive step, it does not go far enough in addressing the challenges faced by businesses.
Zubair Tufail, a leading industrialist and former president of the Federation of Pakistan Chambers of Commerce and Industry (FPCCI), praised Prime Minister Shehbaz Sharif’s initiative, stating that the tariff reduction would help lower production costs for export-oriented industries.
However, he pointed out that production costs are still higher than those of regional competitors, and for Pakistan to remain competitive, a tariff of at least Rs 25 per unit or 9 cents per unit is needed.
Rafique Suleman, former chairman of the Rice Exporters Association of Pakistan (Reap), also welcomed the power tariff reduction, particularly for industrial consumers. However, he stressed that further cuts were necessary to support the export sector, warning that without additional relief, the rice export industry would face difficulties. Suleman also called for the abolition of fixed charges and a further reduction in electricity prices to enable industries to thrive.
Muzzammil Chappal, chairman of the Cereal Association of Pakistan (CAP), echoed similar concerns, acknowledging that the reduction was a positive step but insufficient. He urged the government to review the tariff again in the next quarter to provide more significant support to industries.
While industrialists and exporters expressed appreciation for the reduction in tariffs, which also applies to residential consumers, they emphasized the need for sustained relief to ensure long-term stability in energy costs. Business leaders, including Zubair Motiwala, chairman of the Businessmen Group, and Karachi Chamber of Commerce and Industry (KCCI) president Jawed Bilwani, called the move a critical intervention at a time when high energy costs have long hindered industrial growth. They stressed that the reduction would not only benefit businesses but also help in revitalizing the industrial sector, driving economic growth, and boosting exports.
The KCCI president, Bilwani, highlighted the need for continuous collaboration between the government and the business community to ensure long-term tariff stability.
Federal B Area Association of Trade and Industry president Shaikh Muhammad Tehseen also termed the tariff cut as a business-friendly step but echoed the call for more comprehensive measures to support industries